Fleet management market in South Africa is to grow

Berg Insight is of the opinion that the market for fleet management (FM) in South Africa is in a growth period which will continue in the years to come. The number of FM systems in active use is forecasted to grow at a compound annual growth rate (CAGR) of 10.8 percent from 0.9 million units in 2015 to 1.5 million by 2020. The penetration rate in the total population of nonprivately owned fleet vehicles used by businesses is at the same time estimated to increase from 21.5 percent in 2015 to 32.5 percent in 2020. South Africais a relatively mature telematics market and the penetration is comparably high from an international perspective.
Far from all deployments are however full-scale advanced FM solutions. A notable share of the installed fleet telematics systems on the South African market is represented by comparably low-end tracking systems, e.g. light FM solutions, including SVR systems extended with basic FM features.

The South African fleet management market is dominated by five players with broad telematics portfolios which are all headquartered in the country and have installed bases of more than 100,000 FM units. Berg Insight ranks MiX Telematics as the largest provider of fleet management solutions in South Africa with an estimated installed base of around 150,000 active units in the country. The runner-up is Cartrack followed by Altech Netstar and DigiCore (Ctrack). Tracker has also provided more than 100,000 active FM systems in the country, out of which a share is represented by solutions powered by TomTom Telematics. Other renowned international providers active on the market include Pointer Telocation and Geotab.